HINT: <no title>
[−0 points ⇒ 7 / 7 points left]
This question is a beast! When you encounter big questions like this one, try to break
the question into smaller pieces. Also, it might be helpful to draw a diagram (a timeline)
of what is happening in this situation.
STEP: <no title>
[−2 points ⇒ 5 / 7 points left]
Determine what has been provided and what is required for the first 1,5 years:
PinA=R4 900=10,24%=0,1024=1,5 years= ?
Remember to convert months to years if necessary!
Solve the first part of the problem:
A=4 900(1+0,10244)(1,5×4)=4 900(1,025...)6,0=4 900(1,163...)=R5 702,49
This is the amount after 1,5 years.
STEP: <no title>
[−2 points ⇒ 3 / 7 points left]
Determine what has been provided and what is required for the next 2,5 years:
PinA=R5 702,49=10,23%=0,1023=2,5 years= ?
Don't forget to convert months to years if necessary!
Now solve the second part of the problem:
A=5 702,49(1+0,1023365)(2,5×365)=5 702,49(1,000...)912,5=5 702,49(1,291...)=R7 364,10
This is the amount after 2,5 years.
STEP: <no title>
[−2 points ⇒ 1 / 7 points left]
Determine what has been provided and what is required for the next 3 years:
PinA=R7 364,10=9,82%=0,0982=3= ?
Now solve the third part of the problem, the last 3 years:
A=7 364,1(1+0,098212)(3×12)=7 364,1(1,008...)36=7 364,1(1,341...)=R9 875,12
This is the amount after 7 years.
STEP: <no title>
[−1 point ⇒ 0 / 7 points left]
Write the final answer, and don't forget to answer both parts of the question!
After 7 years, Abdulai will have R9 875,12 in the account. Yes, he will be able to buy the large refrigerator.
Submit your answer as: and